“In 2018 the team at MobileIron did an exceptional job driving improved
performance. Our steady execution and commitment to reinvigorate growth
has clearly paid off as we steadily increased our growth rate through
the year and achieved record non-GAAP operating income in each of the
last two quarters,” said Simon Biddiscombe, CEO, MobileIron. “The Zero
Trust threat landscape requires security that starts at the endpoint and
stretches seamlessly to the cloud services modern work relies on.
MobileIron delivers the most comprehensive security suite to ensure
valuable company data is not compromised. With a strong and cohesive
team and best-in-class products, I am confident that MobileIron has
resumed an upward trajectory and will continue our progress in 2019.”

Financial Outlook

The company is providing the following outlook for its first quarter
2019 (ending March 31, 2019):

Revenue is expected to be between $46 million and $49 million, growth
of 5% to 12% year-over-year.

Non-GAAP gross margin is expected to be approximately 82%.

Non-GAAP operating expenses are expected to be between $45 million and
$46 million.

The company is providing the following outlook for 2019 (ending December
31, 2019):

Revenue is expected to be between $205 million and $215 million,
growth between 6% and 11% over 2018.

We expect ending ARR1 to grow by approximately 20% by year
end.

We expect to generate non-GAAP operating profit in 2019.

Fourth Quarter 2018 Business Highlights

Milestones and Recognition

Named a Leader by Forrester Research in the Forrester Wave™: Unified
Endpoint Management, Q4 2018 report. MobileIron garnered the highest
possible score across 16 criteria in application security, product
vision, and roadmap execution.

Appointed Rhonda Shantz as Chief Marketing Officer. Ms. Shantz brings
over 25 years of experience driving revenue growth at cybersecurity
and enterprise businesses including Centrify, Symantec and Rocketfuel.

Recognized by Google™ as a partner in its Android Enterprise
Recommended program for Enterprise Mobility Management (EMM) providers.

Awarded 5 additional US patents for mobile security, bringing
MobileIron’s total number of awarded patents to 82.

Released 42 major and 85 minor product releases for the full year
2018, across our suite of solutions.

Integrated with Aruba (HPE) and Cisco Security Connector to control
network access.

Integrated with Cortado Workplace and DRACOON for file syncing and
sharing.

Integrated with Fluid Mobility and Inpixon for location-based services.

All forward-looking non-GAAP financial measures contained in this
section exclude estimates for stock-based compensation expenses and
amortization of intangible assets. While a reconciliation of non-GAAP
guidance measures to corresponding GAAP measures is not available on a
forward-looking basis, the company has provided a reconciliation of GAAP
to non-GAAP financial measures in the financial statement tables
included in this press release for its fourth quarter of 2017 and 2018
and for fiscal year 2017 and 2018.

1Annual
Recurring Revenue (ARR). MobileIron will transition from
reporting Annualized Recurring Revenue, which was defined as the
recurring revenue recognized during a quarter multiplied by four, to
reporting Annual Recurring Revenue per the definition and detail that
follows. ARR is a financial measure that we define as the annualized
value of all recurring revenue contracts active at the end of a
reporting period. ARR includes the annualized value of subscriptions and
the annualized value software support contracts related to perpetual
licenses active at the end of a reporting period and does not include
revenue reported as perpetual license or professional services in our
consolidated statement of operations. ARR should be viewed independently
of revenue, unearned revenue, and customer arrangements with termination
rights as ARR is an operating metric and is not intended to be combined
with or replace these items. ARR is not a forecast of future revenue and
can be impacted by contract start and end dates and renewal rates.

Conference Call and Webcast

MobileIron will report final results for the fourth quarter and fiscal
year 2018 on Thursday, February 7, 2019 after the close of the market
and host a conference call and live webcast at 1:30 p.m. Pacific Time
(4:30 p.m. ET) to discuss the company’s financial results and business
highlights. Interested parties may access the call by dialing
1-866-602-7050 in the U.S. or 1-409-216-6455 from international
locations (passcode 9796668). The live webcast will be available on the
MobileIron Investor Relations website at http://investors.mobileiron.com.
A replay will be available through the same link.

Safe Harbor Statement

This press release contains forward-looking statements that involve
risks and uncertainties, including, but not limited to, statements
regarding MobileIron’s revenue, operating expenses, cost structure, GAAP
and non-GAAP financial metrics, projected financial results, and trends
in MobileIron’s business and statements relating to the timing and
extent of any stock repurchases. There are a significant number of
factors that could cause actual results to differ materially from
statements made in this press release, including, but not limited to,
our limited operating history, quarterly fluctuations in our operating
results, one-time expenses, including restructuring charges,
seasonality, our need to develop new solutions and enhancements to
compete in rapidly evolving markets, product defects, strength of
intellectual property portfolio, customer adoption, competitive
pressures, billings type mix shift, our ability to scale, our ability to
recruit and retain key personnel, and the quality of our support
services.

Additional information on potential factors that could affect
MobileIron’s financial results is included in our SEC filings, including
our reports on Forms 10-K, 10-Q and 8-K and other filings that we make
with the SEC from time to time. MobileIron does not assume any
obligation to update the forward-looking statements provided to reflect
events that occur or circumstances that exist after the date on which
they were made.

Disclosure Information

MobileIron uses the investor relations section on its website as the
means of complying with its disclosure obligations under Regulation FD.
Accordingly, we recommend that investors should monitor MobileIron’s
investor relations website in addition to following MobileIron’s press
releases, SEC filings, and public conference calls and webcasts.

About MobileIron

MobileIron provides the secure foundation for modern work. For more
information, please visit www.mobileiron.com.

“MobileIron” is a registered trademark of MobileIron, Inc. in the United
States and other countries. Trade names, trademarks, and service marks
of other companies that are used in this press release belong to their
respective owners.

Financial Results

MOBILEIRON, INC.

CONSOLIDATED BALANCE SHEETS

AS OF DECEMBER 31, 2017 AND 2018

(Amounts in thousands)

(Unaudited)

December 31, 2017

December 31, 2018

Assets

Current assets:

Cash and cash equivalents (1)

$

85,833

$

104,613

Short-term investments (1)

6,797

1,000

Accounts receivable – net

50,629

60,994

Deferred commissions – current

9,285

8,265

Prepaid expenses and other current assets

5,510

8,367

Total current assets

158,054

183,239

Property and equipment – net

8,812

7,046

Deferred commissions – noncurrent

9,123

9,066

Goodwill

5,475

5,475

Other assets

2,976

5,561

Total assets

$

184,440

$

210,387

Liabilities and stockholders’ equity

Current liabilities:

Accounts payable

$

1,369

$

2,154

Accrued expenses

25,070

27,347

Unearned revenue – current

55,105

74,177

Customer arrangements with termination rights

19,546

19,367

Total current liabilities

101,090

123,045

Unearned revenue – noncurrent

21,917

31,660

Other long-term liabilities

1,881

1,565

Total liabilities

124,888

156,270

Stockholders’ equity:

Common stock

10

11

Additional paid-in capital

420,525

462,004

Treasury stock

–

(3,831

)

Accumulated deficit

(360,983

)

(404,067

)

Total stockholders’ equity

59,552

54,117

Total liabilities and stockholders’ equity

$

184,440

$

210,387

(1) Total cash and cash equivalents, short-term and long-term
investments

$

92,630

$

105,613

MOBILEIRON, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE MONTHS ENDED DECEMBER 31, 2017 AND 2018

(Amounts in thousands, except for per share data)

(Unaudited)

Three Months Ended

December 31, 2017

December 31, 2018

Revenue:

License

$

18,306

$

18,011

Cloud services

10,617

14,533

Software support and services

20,140

21,579

Total revenue

49,063

54,123

Cost of revenue:

License (2)

514

1,795

Cloud services (1)

2,335

4,095

Software support and services (1)

4,369

4,673

Total cost of revenue

7,218

10,563

Gross profit

41,845

43,560

Operating expenses:

Research and development (1)

18,910

19,975

Sales and marketing (1)

23,079

23,335

General and administrative (1)

6,853

7,800

Restructuring charge

549

—

Total operating expenses

49,391

51,110

Operating loss

(7,546

)

(7,550

)

Other income (expense) – net

287

645

Loss before income taxes

(7,259

)

(6,905

)

Income tax expense

261

304

Net loss

$

(7,520

)

$

(7,209

)

Net loss per share, basic and diluted

$

(0.08

)

$

(0.07

)

Weighted-average shares used to compute net loss per share, basic
and diluted

96,574

105,967

(1) Includes stock-based compensation expense as follows:

Cost of revenue

License

$

–

$

–

Cloud services

262

468

Software support and professional services

651

866

Research and development

3,474

4,201

Sales and marketing

2,047

2,123

General and administrative

1,048

2,285

$

7,482

$

9,943

(2) Includes amortization of intangible assets as follows:

Cost of revenue

License

$

100

$

–

$

100

$

–

MOBILEIRON, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE TWELVE MONTHS ENDED DECEMEBER 31, 2017 AND 2018

(Amounts in thousands, except for per share data)

(Unaudited)

Twelve Months Ended

December 31, 2017

December 31, 2018

Revenue:

License

$

64,035

$

59,338

Cloud services

38,728

50,714

Software support and services

76,995

83,140

Total revenue

179,758

193,192

Cost of revenue:

License (2)

2,203

3,270

Cloud services (1)

8,847

12,719

Software support and services (1)

19,176

18,933

Restructuring charge

311

–

Total cost of revenue

30,537

34,922

Gross profit

149,221

158,270

Operating expenses:

Research and development (1)

75,350

78,047

Sales and marketing (1)

96,807

94,204

General and administrative (1)

28,091

28,880

Litigation settlement charge

1,143

–

Restructuring charge

1,038

–

Total operating expenses

202,429

201,131

Operating loss

(53,208

)

(42,861

)

Other income (expense) – net

988

1,124

Loss before income taxes

(52,220

)

(41,737

)

Income tax expense

1,142

1,347

Net loss

$

(53,362

)

$

(43,084

)

Net loss per share, basic and diluted

$

(0.57

)

$

(0.42

)

Weighted-average shares used to compute net loss per share, basic
and diluted

93,770

102,527

(1) Includes stock-based compensation expense as follows:

Cost of revenue

License

$

–

$

–

Cloud services

837

1,530

Software support and professional services

2,935

3,476

Research and development

14,520

15,981

Sales and marketing

8,659

9,464

General and administrative

6,780

7,985

$

33,731

$

38,436

(2) Includes amortization of intangible assets as follows:

Cost of revenue

License

$

545

$

100

$

545

$

100

MOBILEIRON, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE TWELVE MONTHS ENDED DECEMBER 31, 2017 AND 2018

(Amounts in thousands)

(Unaudited)

Twelve Months Ended

December 31, 2017

December 31, 2018

Cash flows from operating activities:

Net loss

$

(53,362

)

$

(43,084

)

Adjustments to reconcile net loss to net cash used in operating
activities:

Stock-based compensation expenses: In our
non-GAAP financial measures, we have excluded the effect of stock-based
compensation expenses. We exclude stock-based compensation expense
because it is non-cash in nature and excluding this expense provides
meaningful supplemental information regarding our operational
performance. In particular, because of varying available valuation
methodologies, subjective assumptions and the variety of award types
that companies can use under FASB ASC Topic 718, we believe that
providing non-GAAP financial measures that exclude this expense allows
investors the ability to make more meaningful comparisons between
MobileIron operating results and those of other companies. Stock-based
compensation expenses will recur in future periods.

Amortization of intangible assets: In our
non-GAAP financial measures, we have excluded the effect of the
amortization of intangible assets. Amortization of intangible assets can
be significantly affected by the timing and size of our acquisitions.
Beginning our second quarter ended June 30, 2018, we no longer have
amortizing intangible assets.

Litigation settlement charges: In our
non-GAAP financial measures, we have excluded the charge for the cost of
the settlement of our shareholder litigation. While it is possible that
we will have material litigation-related charges in the future, we do
not expect it to be a consistently recurring expense.

Restructuring charges: In our non-GAAP
financial measures, we have excluded the effect of severance and other
expenses related to a reduction in our workforce. Restructuring charges
may recur in the future; however, the timing and amounts are difficult
to predict.

Non-GAAP gross profit, non-GAAP gross margin,
non-GAAP operating loss, non-GAAP operating margin, non-GAAP net loss,
and non-GAAP net loss per share: We believe that the exclusion of
stock-based compensation expense, the amortization of intangible assets,
the litigation settlement charge, and restructuring charges from various
non-GAAP financial metrics such as gross profit, gross margin, operating
income (loss), operating margin, net income (loss), and net income
(loss) per share provides useful measures for management and investors.
Stock-based compensation, restructuring charges, and the amortization of
intangible assets have been and can continue to be inconsistent in
amount from period to period. Other than in 2017, we have not
historically had a material litigation-related settlement charge. While
it is possible that we will have material litigation settlement charges
in the future, we do not expect it to be a consistently recurring
expense. We believe the inclusion of these items makes it difficult to
compare periods and understand the growth and performance of our
business. In addition, we evaluate our business performance and
compensate management based in part on these non-GAAP measures. There
are limitations in using non-GAAP financial measures because the
non-GAAP financial measures are not prepared in accordance with GAAP,
may be different from non-GAAP financial measures used by our
competitors and exclude expenses that may have a material impact on our
reported financial results. Further, stock-based compensation expense
has been and will continue to be for the foreseeable future a
significant recurring expense in our business and an important part of
the compensation provided to our employees.

Billings and free cash flow: Our non-GAAP
financial measures also include: billings, which we define as
total revenue plus the change in unearned revenue plus the change in
customer arrangements in termination rights minus the change in unbilled
accounts receivable in a period; and free cash flow, which we
define as cash provided by (used in) operating activities less the
amount of property and equipment purchased. We consider billings
to be a useful metric for management and investors because subscription
billings and software support and services billings drive
unearned revenue and customer arrangements with termination rights,
which are important indicators of future revenue. There are limitations
related to the use of billings. First, billings include
amounts that have not yet been recognized as revenue. Changes in
contract duration and the timing of large transactions, for example, may
significantly impact quarterly billings, but have little impact on
revenue. Second, our calculation of billings may be different
from other companies that report similar financial measures. We
compensate for these limitations by evaluating billings together
with revenue calculated in accordance with GAAP, including recurring
revenue. Management believes that information regarding free cash flow
provides investors with an important perspective on the cash available
to invest in our business and fund ongoing operations. However, our
calculation of free cash flow may not be comparable to similar measures
used by other companies.

We believe these non-GAAP financial measures are helpful in
understanding our past financial performance and our future results. Our
non-GAAP financial measures are not meant to be considered in isolation
or as a substitute for comparable GAAP measures and should be read only
in conjunction with our consolidated financial statements prepared in
accordance with GAAP. Our management regularly uses our supplemental
non-GAAP financial measures internally to understand, manage and
evaluate our business, and make operating decisions. These non-GAAP
measures are among the primary factors management uses in planning for
and forecasting future periods. Compensation of our executives is based
in part on the performance of our business using certain of these
non-GAAP measures.